The LH115L is the first Sandvik product to be manufactured locally, using local suppliers,
locally sourced components, and local employees, with training programmes in place to
ensure skills transfer.
time — less than 12 months since we made the
decision to build here and started the design
process — we have already achieved close to
70% local content, which is pretty significant as
it usually takes time to build up local content to
this level.”
Eriksson points out that local content is
something that must be decided upon at the
beginning of the design process. “There are
many components that we use globally that we
will need to source locally, but they might be
a little bit different. In order to manufacture
a global product locally, you have to take into
account the local conditions and what can be
sourced locally, right from the beginning of
the design process. It’s not an easy job, and
our team here did a great job finding a local
supplier in a very short time.”
The facility began prototype operations
in July 2017 and will initially produce the
LH115L machine. “Facility operations will
follow a staged approach, with capacity
ramping up based on customer demand,” says
Steve Greisiger, production manager Jet Park,
Product Area Load and Haul.
“Although we are manufacturing the
machine here and the majority of our
low-profile market is in southern Africa,
the market is not restricted to the region,”
explains Simon Andrews, vice-president sales
for southern Africa. “The product area is a
global organisation, and this is just one of their
manufacturing facilities. This will be the only
Sandvik facility manufacturing this specific
machine, so anyone anywhere in the world who
wants to order a five-tonne low-profile loader
from Sandvik will be receiving a machine that
is manufactured here in South Africa — we will
export it from here.
“Sandvik has sold five-tonne loaders in
Canada, Russia, and Latin America. The easy
mining is finishing and the tough mining is what
remains. People have to start looking at lower
seams and more challenging mining conditions,
which is where these machines fit in.”
Facts and figures
•
One small step …
One of the primary reasons for Sandvik
choosing to open a manufacturing facility in
South Africa is to be closer to their customers
in the region. “We aim to have short lead times
and be able to get the products to the market
quickly,” says Eriksson.
Regarding the content brought in from
global suppliers, he explains that Sandvik does
get some parts — primarily drive trains and
engines — from global suppliers, for which
equivalents are extremely difficult to source
•
•
67% localisation of material and
component sourcing (17% locally
purchased but imported, 64% locally
manufactured, 67% of items purchased
from B-BBEE suppliers).
TCO: ZAR574.00 (per engine hour)
total cost of ownership due to powerful
design for low-profile applications
(standard lifetime costs excluding
consumables, for example oils, coolants,
lubricants, fuel, tyres, and bucket; labour;
damage and so on.
MTTR: <2 hours (mean time to repair).
All figures are dependent on mine circumstances.
NOVEMBER 2017
21